Nah, it’s Training and Knowledge.

 

but you can walk to spondivits

 

Mind explaining the logic? I’m not versed in how the current actions lead to that.

 

i took it as sarcasm

there is a theory that the bondholders recent investments are a ploy to take control of the company and fleece it before liquidation

 

I just don’t understand what there is to fleece? The business only has value as a packaged airline. Aside from the the operating cert, the HQ, a few LGA slots, and about 50 airplanes, everything else is leased.

Those things stated above that are not leased are highly leveraged with little equity compared to the skin the bondholders have in the game.

Now, as a packaged airline you get about 200+ airplanes at much reduced lease rates from what you could get those some planes on the open market for. Many of which will be paid for by P&W allowing some relief for conversion period for an acquiring airline. You also get a large order book as well as a new plug and play training center and offices without having to take the time to build or expand your own. All comes with a substantially reduced debt load along with not having to pay common stock holders a premium for their shares.

 

Put your app out as a back up.

 

Yes. And I doubt the gates "belong" to NK, airport authorities normally control those and leases are not transferable or subject to sublet. Airports leverage gate assignments for their own purposes, such as establishing service to new destinations or enabling startup/low cost airlines with an eye to improving competitive dynamics for the benefit of their travellers.

 

It's not assets. it's cashflow. You award the catering contract to your buddy's captive corporation. Somebody else gets the maintenance parts contract. etc. You string the company along for a year and bleed it dry to another set of entities then it goes chapter 7, you get the headquarters and the peasants fight over the scraps.

Not saying it's the plan or a viable plan but that's the concept.

 

^^^^^This^^^^^^

 

Not mentioned in this article was that the $300M infusion has collateral obligations attached to it:
15 P&W NEO engines plus 15 LGA slots and all NK’s DCA slots (I didn’t realize Spirit had any of these).
TC is leveraging everything he can get his hands on! Apologies if this has already been discussed in another thread.